See also: Acronyms ... Bond Glossary ... Investing Glossary ... Technical Analysis Glossary... Life Insurance Glossary... (edit)
General
Lame Duck is a Buzzword which describes the sad plight of an individual who defaults in the discharge of his stock market related commitments. Like a lame duch of the real life, such a person becomes lame financially! Such a position may arise on account of a variety of reasons like a Crash, rash investing, plain bad luck, Over-Trading beyond one's capacity. An individual turning into a Lame Duck is really a sad thing but a possibility and one should always take precautionary and prudential measures to avoid being turning into a Lame Duck. It will destroy one's credit report and reputation.
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About
Presently, the term is also applied to politicians who have been voted out but continue in the office until the take over of the office by the new incumbents. However, the term has originated in the London Stock Market. A 1761 Horace Walpole's Letters to Sir Horace Mann had reported : "Do you know what a Bull, and a Bear, and a Lame Duck are?"[1]
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